Judgment

MOHAN, J.:- Leave granted.

The appellant filed a suit bearing O.S. No. 7 of 1986 against respondents Nos. 1, 3 and 4 in the Court of Subordinate Judge, Rangareddy District at Saroor Nagar, Andhra Pradesh for recovery of Rupees 97,21,274.11 with interest thereon. The further prayer was, in default of payment a final decree might be passed directing the sale of mortgaged properties and for ancillary reliefs. The averments in the plaint are briefly as follows:

The first respondent is a limited company 3rd and 4th respondents are the Advisors and Directors respectively of the first respondent company. The first respondent deposited with the appellant the documents of title relating to its landed property at Industrial Development Area, Nacharam Tehsil, District Hyderabad (presently Rangareddy District) with an intention to create an equitable mortgage of immoveable property covered by those documents together with all structures and buildings thereon.

2. On 6-10-76, the third and fourth respondents executed separate guarantee in respect of the facilities granted to the first respondent guaranteeing repayment of amounts. On 20-1-84, one of the Directors declared that equitable mort